Quarterly report pursuant to Section 13 or 15(d)

Lease Commitments Lease Commitments

v3.20.1
Lease Commitments Lease Commitments
3 Months Ended
Mar. 31, 2020
Leases [Abstract]  
Lease Commitments
Leases Commitments

The Company has ground leases that are accounted for as operating leases. The Charleston, SC lease ended August 31, 2019 and was accounted for as an operating lease. Most leases include one or more options to renew, with renewal terms that can extend the lease term from 5 to 50 years. As of March 31, 2020 and 2019, the weighted average remaining lease term of our leases is 35 and 36 years, respectively. The following properties are subject to leases which require the Company to make fixed annual rental payments and variable lease payments, which are immaterial and include escalation clauses and renewal options as follows (unaudited, in thousands):
 
Three Months Ended March 31,
 
 
2020
 
2019
Expiration Year
Amscot
$
6

 
$
6

2045
Beaver Ruin Village
14

 
14

2054
Beaver Ruin Village II
6

 
6

2056
Leased office space Charleston, SC

 
25

2019
Moncks Corner
30

 
30

2040
Devine Street (1)
99

 
99

2051
JANAF (2)
71

 
67

2069
    Total ground leases
$
226

 
$
247

 
(1) Lease options are exercised through 2035 with options which are reasonably certain to be exercised through 2051.
(2) Includes $34 thousand and $30 thousand in variable percentage rent, during the three months ended March 31, 2020 and 2019, respectively.






Supplemental information related to leases is as follows (in thousands, unaudited):
 
Three Months Ended
March 31,
 
2020
 
2019
Cash paid for amounts included in the measurement of operating lease liabilities
$
146

 
$
170

Leased assets obtained in exchange for new operating lease liabilities
$

 
$
11,904


Undiscounted cash flows of our scheduled obligations for future minimum lease payments due under the operating leases, including applicable automatic extension options and options reasonably certain of being exercised, as of March 31, 2020 and a reconciliation of those cash flows to the operating lease liabilities at March 31, 2020 are as follows (in thousands, unaudited):
For the remaining nine months ended December 31, 2020
$
437

December 31, 2021
637

December 31, 2022
640

December 31, 2023
642

December 31, 2024
644

December 31, 2025
648

Thereafter
22,460

    Total minimum lease payments (1)
26,108

Discount
(14,188
)
    Operating lease liabilities
$
11,920

(1) Operating lease payments include $7.54 million related to options to extend lease terms that are reasonably certain of being exercised.